American Eagle Outfitters has adopted a well-established uptrend

From a fundamental viewpoint, the famous American retailer enjoys a perfect Surperformance ratings, which underlines its strong fundamentals. The company relies on outstanding finances (its financial leverage is negative). The consensus Reuters revised upward its earnings and EPS for 2015 and 2016. Finally, the company can also count on a very nice business predictability.

Technically, the stock has followed lately a significant bullish trend. All the moving averages are well-oriented and the movement is highly likely to continue in the coming trading sessions. The stock has just crossed its USD 17.77 former resistance which constitute a strong buying signal. Therefore, investors should open long positions to aim the mid-term USD 19.87 resistance.

A stop loss order can be placed under the USD 17.77 long term resistance to avoid important losses.